How Much Do Solar Companies Pay to Lease Land in the USA?

Probably $700 to $3000 per year, and $62 to $250 per month. However, it is not applicable to all countries, states, and types of land. What is the exact land leasing cost? Or, how much do solar companies pay to lease land in the USA? The price depends on several crucial factors, but the average price is approximately $700 to $1800, or $200 per acre per year. This cost may be higher according to the current market land cost. So, the best way to check the recent market value of a specific location, state, country, and discuss with a land owner, and come to the ultimate solution.

How Much Can I Lease My Land for Solar Farm?

The solar farm lease rate varies according to location, recent land demand in the property selling and mortgaging market, land quality, and area etc. However, we have brought here the recent land leasing costs for solar power stations in different states of the USA. So, let’s see and get a real idea of how much solar companies pay to lease land in the United States different states. 

StateAverage Lease Rate USD/acre/yearLand Lease RangeLand TypeRemarks
New Jersey$1,800$1,500–3,000Farmland, brownfieldsHigh due to grid access & incentives
California$1,600$800–5,000Desert, farmlandBest rates near substations
New York$1,500$1,000–3,000+Pasture, ag land, open fieldsHot market for community solar
Illinois$1,400$900–2,500Corn & soybean farmlandStrong transmission access
Massachusetts$1,200$800–2,000Small farms, open lotsHigh rooftop & land lease competition
Iowa$1,200$900–1,500Row-crop farmlandMidwestern farmland in demand
Indiana$1,150$900–1,400Ag land, flat croplandLong-term leases popular
Michigan$1,100$900–1,500Cropland, pasturesWind/solar hybrid use growing
Pennsylvania$1,050$800–1,400Ag land, reclaimed mining landCommunity solar incentives
Maryland$1,000$800–1,200Ag parcels, flat pasturesSmall farm-friendly leases
Georgia$1,000$800–1,200Pine timberland, rural fieldsLand conversion from timber common
Texas$900$400–1,200Ranchland, cropland, drylandLarge parcels, cheaper rates
Virginia$900$600–1,300Ag land, hay fieldsZoning varies by county
Wisconsin$900$700–1,200Dairy farms, croplandCommunity solar expansion underway
Florida$850$600–1,200Pasture, flat wetlandsLimited by wetlands restrictions
Arizona$850$700–1,000Desert scrub, rangelandExcellent solar irradiance
North Carolina$800$600–1,000Farmland, pine forestsStrong history of solar growth
Minnesota$800$600–1,000Ag land, community solar fieldsFocus on small-scale projects
South Carolina$700$500–900Timberland, rural parcelsLower demand, steady growth
Colorado$600$400–800Plains, dry pasturelandSparse grid limits pricing

How Much Can You Make Leasing Land for Solar Farm

The cost of land leasing for a solar power station by state in the USA may be $700, $1300, $1500, $2000, and up to $3000 per acre per year. This cost is based on the land quality and land leasing priority. If you think that I want to lease my land for a solar farm, then you must have a large amount of land (big area), whereas a solar panel company can use it to create a solar power plant.

If you have 1 acre of medium-quality land, then you can easily earn around $600 to $2500 per year. This is a liquid money that a solar panel installer company will pay you per year. On the other hand, they can pay you monthly basis by dividing your yearly earnings. 

How Much is the Solar farm Lease Rates Per Acre per Month?

Approximately $150 to $250 or sometimes more than that, based on land quality, location, or country, and agreement between the land owner and the solar panel company authority. It is very simple to calculate the monthly solar farm land leasing rate per acre.

For example, how much are the solar farm land lease rates in Pennsylvania? The average land lease rate is around $1000 per year per acre. Now divide this amount by 12 (12 months = 1 year). So, $1000/12 = $83 monthly land lease rate. Therefore, if the yearly land lease cost becomes $3000, then $3000/12 = $250 monthly leasing cost. So, get the real land leasing rate by applying this formula. 

Is Leasing Land for Solar Farms Profitable?

Yes, leasing land is a low-risk, high-stability income source. So, let’s see why leasing land for solar farms is profitable because

  • Steady passive income: Landowners earn $500 to $2,000+ per acre annually.
  • Long-term contracts: Leases last 25 to 40 years with annual escalations.
  • Low maintenance: The solar developer handles all installation and upkeep.
  • Unused land becomes income-generating.
  • Tax incentives: Land use may qualify for agricultural or green tax breaks.

Does Leasing Land for a Solar Farm Affect Its Resale Value?

Yes, leasing land for a solar farm can affect its resale value in the USA, both positively and negatively. It is noted that the resale value can increase if sold to an investor. On the other hand, this property value may decrease if the buyer wants unrestricted land use.

Final Thought

Leasing land for a solar farm is a good idea for making a ground-mounted or water-mounted solar power station. In that case, the major fact is how much solar companies pay to lease land. The cost can fluctuate, but we have discussed this above. So, if someone has a huge land and no crops grow on there, such land may be the best monthly or yearly earning way.         

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